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Customer orientation and performance: a study of SMEs

Customer orientation and performance: a study of SMEs This study examined the customer orientation ‐ performance link in small‐ and medium‐sized businesses and tested for the possible effects of innovation orientation, market dynamism and competitive intensity on the degree of customer orientation among these firms. Specific performance measures used were new product success, sales growth and return on investment (ROI). Based on constructs of these measures, a research scale was developed for the study and data were collected via a self‐administered mail survey among a UK samples of small‐ and medium‐sized enterprises (SMEs). The results show a positive effect of customer orientation on SME performance. There are also findings on the varied influences of innovation orientation and the competitive environment on the levels of SME customer orientation. In the light of existing literature, implications of our findings for SME managers, the study’s limitations and future research directions are subsequently addressed. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Management Decision Emerald Publishing

Customer orientation and performance: a study of SMEs

Kwaku Appiah‐Adu; Satyendra Singh
Management Decision , Volume 36 (6): 10 – Aug 1, 1998
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References (49)

Publisher
Emerald Publishing
Copyright
Copyright © 1998 MCB UP Ltd. All rights reserved.
ISSN
0025-1747
DOI
10.1108/00251749810223592
Publisher site
See Article on Publisher Site

Abstract

This study examined the customer orientation ‐ performance link in small‐ and medium‐sized businesses and tested for the possible effects of innovation orientation, market dynamism and competitive intensity on the degree of customer orientation among these firms. Specific performance measures used were new product success, sales growth and return on investment (ROI). Based on constructs of these measures, a research scale was developed for the study and data were collected via a self‐administered mail survey among a UK samples of small‐ and medium‐sized enterprises (SMEs). The results show a positive effect of customer orientation on SME performance. There are also findings on the varied influences of innovation orientation and the competitive environment on the levels of SME customer orientation. In the light of existing literature, implications of our findings for SME managers, the study’s limitations and future research directions are subsequently addressed.

Journal

Management Decision – Emerald Publishing

Published: Aug 1, 1998

Keywords: Competitive advantage; Customer orientation; Customer-oriented performance measures; Innovation; Managers; Small‐ to medium‐sized enterprises

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